You see it advertised everywhere. We’ll waive your deductible! Let’s talk about waiving your deductible. Your insurance policy states that you are responsible for the amount of your deductible before the insurance company is obligated to pay any additional monies. In short, you owe the first money up to the deductible amount then, the insurance company pays the additional monies up to the total amount of the claim. So how does a collision repair facility “pay or waive” a deductible? They don’t. A collision repair facility may not tell you this, but chances are they are charging the insurance company for something they’re not doing to your vehicle. Whether it’s putting on used or after market parts when new parts were specified or simply repairing parts that are supposed to be replaced. How does that affect you? Well, it’s all in what you the customer, is willing to accept.

  • Is the part they’re saving or “repairing” a safety item?
  • Will it compromise the structural integrity of the vehicle?
  • Is the overall job going to be sub-standard?
  • Are you willing to bet you and your family’s life on it?

Insurance companies frown on waiving deductibles. They’re not dumb and they know what goes on in the market place. There has also been controversy on this issue. I can’t tell you how many vehicles I’ve seen repaired by other shops that have waived a deductible and now the customer has a problem with the repairs. I see these vehicles because now the customer’s at my facility wanting me to do “corrective” repairs. This is where it gets real interesting because now when the insurance company gets involved and they see your deductible on the claim, the first question they ask is; “Did you pay your deductible?” Depending on your answer, they may or may not get involved with your issue. This is where the insurance company will basically say you’re on your own if you didn’t pay your deductible. Now you have to think back and say, I saved “X” amount of dollars on my deductible and I was willing to accept less of a repair. The old adage “you get what you pay for” applies here.

About the Author:

Gary Oakie is the owner of The Body Shop, a Collision Repair Sop located in Clinton Township, Michigan (Macomb County).  Gary has over 30 years of experience in auto body repair and refinishing.  He is also a specialist in Corvette repair.

For more information:

Gary Oakie
The Body Shop, Inc.
33376 Kelly Rd
Clinton Township, Michigan 48035
Macomb County